1

Here's Why Investors Should Be Worried About Housing

One of the brightest sectors in the economy over the last few years has been homebuilding.

Many of the nation's largest builders have become increasing confident in the recovery, and their operating results provide reason for optimism. KB Home (NYSE: KBH) , PulteGroup (NYSE: PHM) , and D.R. Horton (NYSE: DHI) have all reported improving trends in sales and order volumes since the depth of the housing crisis. Recently, however, some of these gains are starting to erode. New orders at both KB Home and PulteGroup fell in the most recent quarter, while investors are waiting to hear updated results from D.R. Horton, the nation's biggest homebuilder.

In the video below, Motley Fool contributor John Maxfield discusses why many analysts are fearing that the recovery may be stalling.

Discover three stocks that you can own foreverAs every savvy investor knows, Warren Buffett didn't make billions by betting on half-baked stocks. He isolated his best few ideas, bet big, and rode them to riches, hardly ever selling. You deserve the same. That's why our CEO, legendary investor Tom Gardner, has permitted us to reveal The Motley Fool's 3 Stocks to Own Forever. These picks are free today! Just click here now to uncover the three companies we love.

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment icon found on every comment.